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The Forecast of Cloud Computing


The number of businesses utilizing cloud computing continues to grow rapidly, particularly in the manufacturing industry. When considering the move to the cloud, it is important to analyze both the pros and cons.

Moving to the cloud can have many benefits including possible reduced IT costs, scalability, and information sharing. There are many technology companies that provide server space at competitive rates allowing businesses to no longer need their own servers or equipment. This benefits how a business scales. Server space can be treated similar to a utility; a business is charged for the amount of server space they expect to use in a month. Furthermore, businesses growing rapidly do not need to plan large capital expenditures to meet their server needs; their monthly bill from their server provider will increase based on their expected usage. The same is true for businesses who have a decreased demand for server space. The business will not be left paying for excess capacity; their monthly bill is adjusted for their expected usage.

When businesses are on the cloud, employees are able to access company data anywhere. Employees can work remotely with increased ease and businesses with multiple locations can communicate more efficiently between locations. This can help standardize processes, products, production times, and costs between locations.

On the other hand, cloud computing has potential cons such as downtime, platform dependencies, and security issues. When a business switches to cloud computing, they are reliant upon their service provider. If for any reason the service provider has an issue that causes their server to go down, the business has no control over how quickly functions are restored. While this may be a rare occurrence, it should be considered when a business has sensitive time constraints. Additionally, businesses need to ensure their systems and reports integrate with the service provider or a change in their systems or reports may be necessary.

Lastly, security is always a concern. A cloud service provider should be utilizing the best security practices available. However, even the best security practices are not always guaranteed to work as seen by the recent breaches of large corporations such as Equifax, Uber, and Target. When a business switches to cloud computing, they are relying upon the security practices of another organization.

Cloud computing clearly has its pros and cons. However, it appears that many businesses believe the pros outweigh the cons as the shift of moving systems to the cloud continues.


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